WVIT 433 Exam Questions and Answers
brands that continue to... (4) - Answer-- Making margin → profit
- Drive volume → profit
- Increase market share → competition/longevity
- Differentiate → competition/longevity
- If your distributor isn't focused on the above, they will not survive in the marketplace
distributors do not want to (3) - Answer-- SKUs and brands that get lost in their books (stagnate
inventory)
- Wine brands that are tough to sell
- Brands the cannibalize on their current portfolio -- redundancy
All of these ^ equate to the distributor losing money (3) - Answer-- Cost of storing inventory
- Cost of pushing tough sell products
- Cost of carrying too much redundancy
3 reasons distributors select wineries - Answer-- Sheer muscle: major volume supplier releases new
wine
- Competitive advantage: supplier gives distributor product to fit market need
- Easy pickings: products with market pull -- volume and profit built in
,4 steps in getting picked up by a wine distributor - Answer-- Research a good fit for your winery and
brand
- Make the pitch -- explain why you compliment their book and why you are a good choice
- Send a proposal
- Communicate goals and expectations
Managing distributors (5) - Answer-- Establish goals
- Set management meetings to discuss goals and expectations
- Come prepared
- Discuss the winery's long-term growth strategy -- make the distributor a part of the process
- Set sales meetings to reach out to the sales force regarding new winery information
How do wineries select a distributor (2) - Answer-- Brand objectives and strategic planning
- What will be your wineries involvement?
None
Brand managers
Winery sales force
Evaluating distribution (6) - Answer-- Shipments and depletions at a profit -- healthy winery
- The distributor sales team that is representing the brand -- often called your share of (their) mind
- Targeted account base that makes sense for the brand -- strategic presence in the marketplace
- A working partnership -- good communication and support
- Premise mix
- Allocations
Distribution management, other: (3) - Answer-- Consider your landed cost
,- Chains? National accounts
- Winery programming to distributors is paid for by the winery -- build in working margin to allow for
distributor and sales programs. Often a dollar per case amount, this process is called billback
Distribution sales planning (6) - Answer-- Wineries and each of their distributors usually meet for a sales
review once per year
- Review of previous year versus goals
- Sales objectives for upcoming year
- Actual sales goals
- Tools and resources available from the winery
- Details of the annual plan are usually evaluated quarterly
General POS, collateral -- sales tools
- usual stuff - Answer-Corkscrews
Waitstaff kits
Tech notes
Wine racks
Pens
Displays
Posters
Table tents
Neckers or shelf talkers
Case cards
General POS, collateral -- sales tools
- program driven - Answer-Dealer loaders
, Coupons
Giveaways
Anything to the left that is program specific
major distributors (4) - Answer-- Gallo
- Southern wine and spirits
- Youngs market
- Henry wine group
other ways to push
- discounting (2) - Answer-- BTG (on premise)
- CQD (off premise)
other ways to push
- sales incentives (2) - Answer-- Sales level ($5/ cs sold)
- Account level (buy 5cs, get magnum)
Who finances these ^ programs?? - Answer-the winery, if distributor pays anything then they get billed
back
Sales at the account level (6) - Answer-- Wine list presentation
- Targeted recommendations
- Taking in order
- Matching wine with food
- Proper table service
- Working knowledge of industry standards
brands that continue to... (4) - Answer-- Making margin → profit
- Drive volume → profit
- Increase market share → competition/longevity
- Differentiate → competition/longevity
- If your distributor isn't focused on the above, they will not survive in the marketplace
distributors do not want to (3) - Answer-- SKUs and brands that get lost in their books (stagnate
inventory)
- Wine brands that are tough to sell
- Brands the cannibalize on their current portfolio -- redundancy
All of these ^ equate to the distributor losing money (3) - Answer-- Cost of storing inventory
- Cost of pushing tough sell products
- Cost of carrying too much redundancy
3 reasons distributors select wineries - Answer-- Sheer muscle: major volume supplier releases new
wine
- Competitive advantage: supplier gives distributor product to fit market need
- Easy pickings: products with market pull -- volume and profit built in
,4 steps in getting picked up by a wine distributor - Answer-- Research a good fit for your winery and
brand
- Make the pitch -- explain why you compliment their book and why you are a good choice
- Send a proposal
- Communicate goals and expectations
Managing distributors (5) - Answer-- Establish goals
- Set management meetings to discuss goals and expectations
- Come prepared
- Discuss the winery's long-term growth strategy -- make the distributor a part of the process
- Set sales meetings to reach out to the sales force regarding new winery information
How do wineries select a distributor (2) - Answer-- Brand objectives and strategic planning
- What will be your wineries involvement?
None
Brand managers
Winery sales force
Evaluating distribution (6) - Answer-- Shipments and depletions at a profit -- healthy winery
- The distributor sales team that is representing the brand -- often called your share of (their) mind
- Targeted account base that makes sense for the brand -- strategic presence in the marketplace
- A working partnership -- good communication and support
- Premise mix
- Allocations
Distribution management, other: (3) - Answer-- Consider your landed cost
,- Chains? National accounts
- Winery programming to distributors is paid for by the winery -- build in working margin to allow for
distributor and sales programs. Often a dollar per case amount, this process is called billback
Distribution sales planning (6) - Answer-- Wineries and each of their distributors usually meet for a sales
review once per year
- Review of previous year versus goals
- Sales objectives for upcoming year
- Actual sales goals
- Tools and resources available from the winery
- Details of the annual plan are usually evaluated quarterly
General POS, collateral -- sales tools
- usual stuff - Answer-Corkscrews
Waitstaff kits
Tech notes
Wine racks
Pens
Displays
Posters
Table tents
Neckers or shelf talkers
Case cards
General POS, collateral -- sales tools
- program driven - Answer-Dealer loaders
, Coupons
Giveaways
Anything to the left that is program specific
major distributors (4) - Answer-- Gallo
- Southern wine and spirits
- Youngs market
- Henry wine group
other ways to push
- discounting (2) - Answer-- BTG (on premise)
- CQD (off premise)
other ways to push
- sales incentives (2) - Answer-- Sales level ($5/ cs sold)
- Account level (buy 5cs, get magnum)
Who finances these ^ programs?? - Answer-the winery, if distributor pays anything then they get billed
back
Sales at the account level (6) - Answer-- Wine list presentation
- Targeted recommendations
- Taking in order
- Matching wine with food
- Proper table service
- Working knowledge of industry standards
